ASHEVILLE, NC / ACCESSWIRE / July 26, 2020 / How can an investor decrease their risk exposure? There are many methods, according to a recent post at American IRA-a Self-Directed IRA administration firm based in Asheville, NC-but one of the most effective ways for retirement investors is to leverage a Self-Directed IRA. With a Self-Directed IRA, investors will have easy access to making investments in nontraditional retirement assets like real estate and precious metals.
The guide, available at American IRA's blog, details what risk exposure is. As the post notes, there is no investment that is without risk. Even the most certain investments carry some risk with them. And the post notes that investors who understand this know that the best way to mitigate against these risks is to diversify their risks by moving beyond one type of investment or even one type of asset class.
For example, an investor in the stock market who invests in just one stock is not well-diversified by most traditional definitions. An investor who holds a mutual fund (which in turn holds a multitude of stocks) is more diversified. And an investor with multiple mutual funds has improved their diversification even more.
But even these investments, the post notes, are still within the same asset class. Adding investments like real estate and precious metals to the pool of investments available within the portfolio has the effect of "broadening" the portfolio.
"It's important for people to know that diversification in a portfolio isn't limited to one asset class," said Jim Hitt, CEO of American IRA. "In fact, there are different levels to diversification that can help investors better understand how their portfolio interacts with the economy around them. And nowhere is that more important than in where people put their retirement money."
The result, the post argues, is that a well-diversified portfolio of various asset classes can lead to greater peace of mind for investors who otherwise worry about the stock market and the economy.
"American IRA, LLC was established in 2004 by Jim Hitt, CEO in Asheville, NC.
The mission of American IRA is to provide the highest level of customer service in the self-directed retirement industry. Jim Hitt and his team have grown the company to over $400 million in assets under administration by educating the public that their Self-Directed IRA account can invest in a variety of assets such as real estate, private lending, limited liability companies, precious metals and much more.
As a Self-Directed IRA administrator, they are a neutral third party. They do not make any recommendations to any person or entity associated with investments of any type (including financial representatives, investment promoters or companies, or employees, agents or representatives associated with these firms). They are not responsible for and are not bound by any statements, representations, warranties or agreements made by any such person or entity and do not provide any recommendation on the quality profitability or reputability of any investment, individual or company. The term "they" refers to American IRA, located in Asheville and Charlotte, NC and Atlanta, GA."
SOURCE: American IRA, LLC
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